There is an increase in demand for residential property In Bahrain resulting from the rapidly increasing population of Bahrainis.
The current property prices and construction activity fail to account for important factors that will create a decline in demand. These include the new labour law, which will make foreign labour less desirable and will thus lead to an exodus of a large number of people from the country. They also include the increasingly desirable economic hotspots of Dubai and Doha, which are luring companies and their employees away from Bahrain and thus away from its residential properties.
